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Brokers for Canadians?

  • #141
  • Aug 19, 2018 8:04am Aug 19, 2018 8:04am
Guidebortoli,
As long as you open the account with IC while you are a legal resident (not “permanent” resident of Brazil necessarily) you are free to travel and trade from any part of the world. Do not be concerned about IP address - no broker cares or bothers to trace that as many trades use VPNs for many reasons.
Once you are in Canada and open a bank account you can fund your MT4 account via MasterCard debit or Visa debit directly to IC without any fees as they accept debit card instant deposits and withdrawals.
No need to use any other method.
  • #142
  • Aug 19, 2018 8:11am Aug 19, 2018 8:11am
Forgot to mention, all Canadian banks provide their customers with a MasterCard or Visa Debit card which you can use to shop online as well, just like a credit card. And yes, if you are a permanent resident of Canada and do your income taxes, you must claim your profit as income. (hopefully you will have that issue)...
Best of luck!
  • #143
  • Aug 19, 2018 9:00am Aug 19, 2018 9:00am
Quoting symona
Guidebortoli, As long as you open the account with IC while you are a legal resident (not “permanent” resident of Brazil necessarily) you are free to travel and trade from any part of the world. Do not be concerned about IP address - no broker cares or bothers to trace that as many trades use VPNs for many reasons. Once you are in Canada and open a bank account you can fund your MT4 account via MasterCard debit or Visa debit directly to IC without any fees as they accept debit card instant deposits and withdrawals. No need to use any other method....

Ok so, just to sumarize this up to see if I really understood....(and please correct me if I'm wrong).

If I open my account on IC before moving to Canada, I'm ok trading with them? Even if I'll be living in Canada one month later after opening my account while I was still in Brazil ? So this BS about all the international brokers denying Canadians, concerns only Canadian citizens that live specifically in Canada (which means that if you are a Canadian living in Brazil for example, you would be ok to open an account with them and start trading).

I'm a bit confused about this restriction in Canada. Basically when they said that they are closing all accounts of Canada residents, this specifically means Canadians citizens and not people (like me), that lives in Canada (but not a permanent resident).

Thanks for the help @symona
  • #144
  • Edited 2:52pm Aug 19, 2018 2:37pm | Edited 2:52pm
Quoting guidebortoli
{quote} Ok so, just to sumarize this up to see if I really understood....(and please correct me if I'm wrong). If I open my account on IC before moving to Canada, I'm ok trading with them? Even if I'll be living in Canada one month later after opening my account while I was still in Brazil ? So this BS about all the international brokers denying Canadians, concerns only Canadian citizens that live specifically in Canada (which means that if you are a Canadian living in Brazil for example, you would be ok to open an account with them and start trading)....
It seems you're in a bit of a legal grey area. Are you still going to have Brazilian citizenship? If so, it seems like you still could trade with them. The big question is though, do they still do withdraws via paypal? It's the one reason I was looking into trading with them, before they banned canadian traders. If they do, you could potentially link your Canadian bank account to your paypal, and withdraw the funds. That way, IC pretty much won't know that you're in Canada. If you give the broker withdraw information for a Canadian bank account, it's likely your trading account would get shut down. It's not about Canadian citizens, it's about Canadian residents. If you reside in Canada, you'll be blocked.

It's basically boils down to two things:
1. Don't let IC Markets find out you're trading with them while in Canada
2. Make sure to report all of your profits to the Canadian government during tax season

Overall, the Canadian government doesn't really care if you're with IC Markets, as long as they get their tax money. One of the reasons for the stupid regulations, is because some assholes will trade with offshore brokers, strictly to hide income from the government. Don't dodge taxes.

As long as IC Markets thinks you're trading from Brazil, you should be fine. Maybe run a VPN with a Brazilian IP while you're doing your trading just to be safe. Just make sure there's no way they can tell that they're sending money to a Canadian bank account, or else you're account will be closed. It's not about citizens, it's about residents. If you reside there, you're out of luck.
  • #145
  • Aug 19, 2018 3:39pm Aug 19, 2018 3:39pm
Quoting 4xNewGuy
{quote} It seems you're in a bit of a legal grey area. Are you still going to have Brazilian citizenship? If so, it seems like you still could trade with them. The big question is though, do they still do withdraws via paypal? It's the one reason I was looking into trading with them, before they banned canadian traders. If they do, you could potentially link your Canadian bank account to your paypal, and withdraw the funds. That way, IC pretty much won't know that you're in Canada. If you give the broker withdraw information for a Canadian bank...
Got it!
Yes, I'll have Brazilian citizenship!
According to their website "Paypal / Neteller / Skrill withdrawals must be made from the same account from where the funds were sent initially. These transactions are processed free of charge and are instant once processed." So I believe it's ok for the PayPal transfer fund the broker account and to withdraw...
Another point is...Do you guys think I would have problems if I decide to open the account with the base currency in CAD? They state this:
We know some traders prefer to deal in their local currency. We give traders the option to open an account in 1 of 10 supported base currencies: USD, AUD, EUR, GBP, SGD, NZD, JPY, CHF, HKD, CAD.
Question is: Choosing CAD would be ok? Do you guys recommend this? Or It's risky? I would love some guidance here. They say that "We know some traders prefer to deal in their local currency, but traders that could benefit from this like CAD and USD currency are banned to open account with them....

Thank you @4xNewGuy
  • #146
  • Aug 19, 2018 4:49pm Aug 19, 2018 4:49pm
Dear FxNewGuy,
Actually you are wrong about premise #1. IC Markets and all other legitimate brokers for that matter have to abide by the regulations set forth by the Canadian authorities regarding OPENING accounts with Canadian residents. By the way it is irrelevant if you are a permanent resident or visitor or Canadian born. Simply put, you are restricted to OPEN an account with IC for example, but if you already have an existing account which - this is very important- was opened in another country that allows to take new clients then you are legally protected to continue trading. Whether you use a Canadian bank of Brasilian is not IC’s concern. The only obligation is to not target (advertise) and accept clients form Canada. The only accounts IC CLOSED were accounts that had been OPENED FROM Canada. Not traded from Canada.
  • #147
  • Aug 19, 2018 4:58pm Aug 19, 2018 4:58pm
A good friend of mine is trading from New York with IC Markets and they know that he is currently a US resident and uses his US bank to deposit and withdraw for years now!
They don’t care as long as you OPENED the account in a non-restricted jurisdiction and still have the ORIGINAL ADDRESS you used as proof of residence where you opened the account.
There are many traders with more than one residence (multiple homes in different countries) so the only legal requirement is the account OPENING.
  • #148
  • Aug 19, 2018 5:04pm Aug 19, 2018 5:04pm
If he had originally opened the account with a US residence then they would close the account. But he opened it from his beach house in the Cayman Islands which he still has access to go and live.
  • #149
  • Aug 19, 2018 5:58pm Aug 19, 2018 5:58pm
Thank you so much for the infos @symona!

Well, in any case if everything goes wrong I can alway use my Brazilian bank account (with Visa and Mastercard), to fund IC...yet, I know I would be losing some money with the IOF, but it's ok.

So sad about this restriction to Canadians...Seems like they (the government?) don't want you guys to prosper.
Is there any future for you guys? I mean, any amendment to this rule in the near future?
  • #150
  • Aug 19, 2018 6:07pm Aug 19, 2018 6:07pm
Well, I was born in Canada but currently reside in Greece. But the regulations have actually stiffened more in Europe recently with leverage reductions etc and most likely Australia will follow at some point in the near future.
  • #151
  • Aug 19, 2018 9:10pm Aug 19, 2018 9:10pm
Let me offer my 2 cents, I don't know how true this is, but I was speaking to someone at Global Prime and they said the reason the accounts are being closed is Canadian government restrictions on leverage. Again don't know if its true or not but that's what he said.
Nobody ever went broke closing a trade in profit
  • #152
  • Aug 26, 2018 7:33pm Aug 26, 2018 7:33pm
which brokers are accepting Canadian clients?
  • #153
  • Aug 26, 2018 7:35pm Aug 26, 2018 7:35pm
Quoting extreme911
Hi All, I managed to open an account with octafx. They confirmed that they accept Canadians. Any feedback regarding this broker?
how are they so far?
  • #154
  • Aug 27, 2018 3:39am Aug 27, 2018 3:39am
Quoting symona
Well, I was born in Canada but currently reside in Greece. But the regulations have actually stiffened more in Europe recently with leverage reductions etc and most likely Australia will follow at some point in the near future.
Not too soon I hope! Australian brokers are helping us EU retail traders out at the moment!

Seems like these regs are spreading around the world...
  • #155
  • Aug 28, 2018 9:53pm Aug 28, 2018 9:53pm
To all my fellow Canadians,

BCSC, Ontario whatever they are called and IIROC are going to love your posts. They are going to sniff out where most Canadians are opening accounts and come down on the respective brokers like a sack of manure and gutless firms like IC Markets are going to crack and relent to the stench. No need to advertise your newly found broker unless you are making a coin promoting them. At least that way you benefit somewhat and not be a free mule to carry the manure sacks.
  • #156
  • Aug 28, 2018 10:06pm Aug 28, 2018 10:06pm
Another hint, if a broker you are trying to open an account with asks for notarized DL, don't just go and spend a bunch of money to appease them. Ask them to cover the cost. It is not your requirement to have your ID notarized. It is their requirement and they should pay. They will probably reimburse you if you send them receipt and deposit funds in your account but make sure you get it in writing in an email first. If they say no to covering the costs, they will be losing all the commissions and spreads they would have been making from you and we know how badly they want your money.
  • #157
  • Aug 29, 2018 3:43pm Aug 29, 2018 3:43pm
Quoting OutThere
Another hint, if a broker you are trying to open an account with asks for notarized DL, don't just go and spend a bunch of money to appease them. Ask them to cover the cost. It is not your requirement to have your ID notarized. It is their requirement and they should pay. They will probably reimburse you if you send them receipt and deposit funds in your account but make sure you get it in writing in an email first. If they say no to covering the costs, they will be losing all the commissions and spreads they would have been making from you and...
mostly every regulated broker now requires notarized documentation and they don't have to reimburse you for any expense

if a broker asks you to deposit money prior to verifying your identity, then you should run because later if your identity has not been verified, you will likely not be able to withdraw your money
Don't Worry Be Happy
  • #158
  • Aug 29, 2018 7:54pm Aug 29, 2018 7:54pm
Yes they don't have to reimburse you for any expense and then you don't have to register an account with them either. You move on to the next smarter broker that knows spending a few dollars on you is worth getting possibly a lot more back.

I don't know how you managed to squeeze in depositing money before verifying your identity thing. The order is: 1- You negotiate and confirm the broker pays for notarizing your ID. 2- You notarize your identity and get a receipt. 3- You open an account with the broker using your notarized identity. 4- You deposit money and your receipt for notarizing your ID. 5- You get a credit to your account or a check or whatever for your notarizing expense as arranged with broker. 6- You trade and broker enjoys your commissions/spreads.
  • #159
  • Sep 3, 2018 4:22am Sep 3, 2018 4:22am
This is what I heard from ICM:

"We will need a new proof of residence from a country other than Canada We will not have any issue. However you need to contact your bank and ask if they still allow deposits and withdrawals to FOREX brokers."

What really concerns me is if there are problems with Canadian Banks, should we really look for brokers outside Canada?
  • #160
  • Edited 2:18pm Sep 3, 2018 2:05pm | Edited 2:18pm
Quoting Hippy
This is what I heard from ICM: "We will need a new proof of residence from a country other than Canada We will not have any issue. However you need to contact your bank and ask if they still allow deposits and withdrawals to FOREX brokers." What really concerns me is if there are problems with Canadian Banks, should we really look for brokers outside Canada?
IC Markets won't open an account for Canadian residents who have a Canadian residential address and Canadian bank account, so you have to either obtain a second residency in a different country or trade through an international business company.

Opening an international business company can be beneficial for tax and liability. But proper legal and accounting advice in Canada for such company structures can be expensive. This option is only beneficial for high net worth Canadians. The CRA is likely going to look more closely at Canadians who hold offshore assets after the Panama/Paradise papers leaks.

You may also obtain an "e-residency" in Estonia and form a company there to trade through. However, you will pay corporate tax on any dividend. But you do receive a tax credit in Canada due to the tax treaties if your company structure is properly formed.

You should pick a broker that is regulated and meets all the reporting requirements. Not all regulated Forex brokers in Australia follow all the rules and your money may be at risk as a result. To read up on what needs to be reported by ASIC regulated Forex brokers, please refer to:

https://asic.gov.au/regulatory-resou...sic-viewpoint/

https://www.gleif.org/en/lei-solutio...use-of-the-lei

https://www.legislation.gov.au/Details/F2018C00209

Another option for Canadian residents is to trade with regulated brokers that meet Canadian securities requirements. This may not be an option for some due to the high account balance requirement and low leverage offered. But if you are serious about investing and Forex trading, then you should probably consider this option because 1:50 leverage is more than enough. Leverage higher than 1:50 is just gambling. Some unregulated brokers offer even 1:1000, which is crazy.
Don't Worry Be Happy
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